MBA-II

Section – A
Week 4 Report

Submitted by:
Annaam Bin Muhammad
Haris Amir
Hira Naeem Muggo
Kinza Adnan

Submitted to:
Dr. Sohail
Investments and Portfolio Analysis
Spring 2020
 Table of Contents
Market Portfolio.........................................................................................................................3
Beginning of Week 4 (17/02/2020).......................................................................................3
Ending of Week 4 (24/02/2020).............................................................................................3
Passive Portfolio........................................................................................................................4
Beginning of Week 4 (17/02/2020).......................................................................................4
Ending of Week 4 (24/02/2020).............................................................................................5
Passive Levered Portfolio..........................................................................................................6
Beginning of Week 4 (17/02/2020).......................................................................................6
Ending of Week 4 (24/02/2020).............................................................................................7
Active Portfolio..........................................................................................................................8
Beginning of Week 4 (17/02/2020).......................................................................................8
Trading (21/02/2020).............................................................................................................9
Ending of Week (24/02/2020)..............................................................................................10
 Market Portfolio
Beginning of Week 4 (17/02/2020)
KSE – 100 Index value: 40,276.93
BALANCE SHEET
Total Assets 94,639,266
Total Liability -
Owners’ Equity 94,639,266

Ending of Week 4 (24/02/2020)

KSE – 100 Index Value: 39,143.73

1. Rp for Week 4 = (New Value – Old Value)/ Old Value

Rp for Week 4 = (39,143.73 – 40,276.93 )/ 40,276.93
Rp for Week 4 = -2.81%
2. OE at end of Week 4 = OE beginning of Week 4 x (1+ Rp for week 1)
OE at end of Week 4 = 94,639,266 (1 + (-2.81 %))
OE at end of Week 4 = 91,989,366.55

BALANCE SHEET
Total Assets 91,989,366.55
Total Liability -
Owners’ Equity 91,989,366.55
 Passive Portfolio
Beginning of Week 4 (17/02/2020)
No. of Price per
Company MV
Shares share
994,400
1 Bestway Cement Ltd. (BWCL) 10000
99.44
Bannu Woollen Mills Ltd. 1,410,000
2 30000
(BNWM) 47
Fatima Fertilizer Ltd. 1,516,800
3 60000
(FATIMA) 25.28
Indus Motor Company Ltd. 20,589,600
4 20000
(INDU) 1029.48
International Industries Ltd. 1,984,200
5 20000
(INIL) 99.21
6 Packages Ltd. (PKGS) 10000 360.33 3,603,300
7 Pakistan Services Ltd. (PSEL) 10000 993.53 9,935,300
55,813,525
8 Service Industries Ltd. (SRVI) 57500
970.67
9 Unity Foods Ltd. (UNITY) 40000 13.82 552,800
1 1,200,200
Ibrahim Fibre Ltd. (IBFL) 20000
0 60.01
Total Value of Shares 97,600,125
Total Cash in Hand 6080754.003
MV of Portfolio 103,680,879

BALANCE SHEET
Total Assets 103,680,879
Total Liability -
Owners’ Equity 103,680,879
Ending of Week 4 (24/02/2020)
No. of Price per
Company Shares share MV
Bestway Cement Ltd. 92.31 923,100.00
1 (BWCL) 10000
Bannu Woollen Mills 44.15 1,324,500.00
2 Ltd. (BNWM) 30000
Fatima Fertilizer Ltd. 24.26 1,455,600.00
3 (FATIMA) 60000
Indus Motor Company 988.59 19,771,800.00
4 Ltd. (INDU) 20000
International Industries 94.72 1,894,400.00
5 Ltd. (INIL) 20000
6 Packages Ltd. (PKGS) 10000 364.36 3,643,600.00
Pakistan Services Ltd. 993.53 9,935,300.00
7 (PSEL) 10000
Service Industries Ltd. 939.08 53,997,100.00
8 (SRVI) 57500
Unity Foods Ltd. 13.27 530,800.00
9 (UNITY) 40000
Ibrahim Fibre Ltd. 60.1 1,202,000.00
10 (IBFL) 20000
Total Value of Shares 94,678,200.00
Cash leftover 6080754.003
0.19%
Interest income 10% annual weekly 11553.43261
Total Cash in Hand 6092307.436
100,770,507.4
MV of Portfolio 4

BALANCE SHEET
Total Assets 100,770,507.44
Total Liability -
Owners’ Equity 100,770,507.44

Rp for Week 4 = (OE Ending – OE Beginning) / OE Beginning

Rp for Week 4 = (100,770,507.44 – 103,680,879) / 103,680,879
Rp for Week 4 = -2.807%
 Passive Levered Portfolio
Beginning of Week 4 (17/02/2020)
No. of Price per
  Company Shares share MV
Safe Mix Concrete Ltd. 1,472,500
1 (SMCPL) 250000 5.89
2 ICI Pakistan Ltd. (ICI) 35000 712.74 24,945,900
Metropolitan Steel 4,900,000
3 Corporation Ltd. (MSCL) 500000 9.80
Baluchistan Glass Ltd. 453,900
4 (BGL) 85000 5.34
Ghandara Nissan Ltd. 4,785,750
5 (GHNL) 75000 63.81
Nestle Pakistan Ltd. 53,088,750
6 (NESTLE) 7150 7425
EFG Hermes Pakistan 2,070,000
7 Ltd. (EFGH) 90000 23
Shell Pakistan Ltd. 15,836,000
8 (SHEL) 80000 197.95
Media Times Ltd. 103,000
9 (MDTL) 100000 1.03
Sanofi-Aventis Pakistan 28,350,000
10 Ltd. (SAPL) 45000 630
  Total Value of Shares   136,005,800

Cash on hand 5,779,250.08

MV of Portfolio 141,785,050.08

BALANCE SHEET
Total Assets 141,785,050.08
Total Liability 50,000,000
Owners’ Equity 91,785,050.08
Ending of Week 4 (24/02/2020)
No. of Price per
  Company Shares share MV
Safe Mix Concrete Ltd. 5.69 1,422,500
1 (SMCPL) 250000
2 ICI Pakistan Ltd. (ICI) 35000 692.75 24,246,250
Metropolitan Steel 9.01 4,505,000
3 Corporation Ltd. (MSCL) 500000
Baluchistan Glass Ltd.
5.3 450,500
4 (BGL) 85000
Ghandara Nissan Ltd. 57.84 4,338,000
5 (GHNL) 75000
Nestle Pakistan Ltd. 7800 55,770,000
6 (NESTLE) 7150
EFG Hermes Pakistan 18.83 1,694,700
7 Ltd. (EFGH) 90000
Shell Pakistan Ltd.
182.25 14,580,000
8 (SHEL) 80000
Media Times Ltd.
1.09 109,000
9 (MDTL) 100000
Sanofi-Aventis Pakistan 630 28,350,000
10 Ltd. (SAPL) 45000
  Total Value of Shares   135,465,950
Cash Leftover 5,779,250.08
20% 0.384% 22,227.88
Interest Expense annually weekly
Cash on hand 5,757,022.20
141,222,972.2
MV of Portfolio 0

BALANCE SHEET
Total Assets 141,222,972.20
Total Liability 50,000,000
Owners’ Equity 91,222,972.2
Rp for Week 4 = (OE ending – OE beginning) / OE beginning
Rp for Week 4 = (91,222,972.2 - 91,785,050.08) / 91,785,050.08
Rp for Week 4 = - 0.61%
 Active Portfolio
Beginning of Week 4 (17/02/2020)
No. of Price per
Company MV
Shares share
1 Service Industries Ltd. 27,000
(SRVI) 970.67 26,208,090

2 Fauji Cement Company 300,000

Ltd. (FCCL) 15.46 4,638,000

3 Indus Motor Company 10,000

Ltd. (INDU) 1029.48 10,294,800

4 Pakistan Tobacco 12,000

Company (PAKT) 2134 25,608,000

5 Hascol Petroleum Ltd. 80,000

(HASCOL) 22.52 1,801,600
6 Systems Ltd. (SYS) 60,000 156.99 9,419,400

7 Glaxosmithkline (Pak) 45,000

Ltd. (GLAXO) 166.61 7,497,450

8 Philip Morris (Pakistan) 3,500

Ltd. (PMPK) 2397.95 8,392,825

9 Gadoon Textile Mills 10,000

(GADT) 233.17 2,331,700
Siemens Pakistan
10 Engineering Co. Ltd. 6000
(SIEM) 605 3,630,000
Total Value of Shares 99,821,865
Cash leftover     5,724,807.00
MV of Portfolio 105,546,672

BALANCE SHEET
Total Assets 105,546,672
Total Liability -
Owners’ Equity 105,546,672
Trading (21/02/2020)
Sold MV
Siemens Pakistan Engineering Co. Ltd. (SIEM) sold
3,678,000
6000 @ Rs 613/sh
Bought MV
Millat Tractors Ltd. (MTL) bought 5500 @ 691.81/sh 3,804,955

No. of
Company Price per share MV
Shares
Service Industries Ltd.
1 27,000 1001.19 27,032,130
(SRVI)
Fauji Cement Company
2 300,000 15.33 4,599,000
Ltd. (FCCL)
Indus Motor Company
3 10,000 1011.67 10,116,700
Ltd. (INDU)
Pakistan Tobacco
4 12,000 1995.29 23,943,480
Company (PAKT)
Hascol Petroleum Ltd.
5 80,000 22.4 1,792,000
(HASCOL)

6 Systems Ltd. (SYS) 60,000 148.83 8,929,800

Glaxosmithkline (Pak)
7 45,000 168.66 7,589,700
Ltd. (GLAXO)
Philip Morris (Pakistan)
8 3,500 2488.85 8,710,975
Ltd. (PMPK)
Gadoon Textile Mills
9 10,000 233.62 2,336,200
(GADT)
Millat Tractors Ltd.
10 5500 691.81 3,804,955
(MTL)
Total Value of Shares   98,854,940
Cash leftover  5,724,807 + 3,678,000 - 3,804,955 5,597,852.00
MV of Portfolio   104,452,792

BALANCE SHEET
Total Assets 104,452,792
Total Liability -
Owners’ Equity 104,452,792

Reasons for trading on 21st February:

1. Siemens yielded a profit of Rs. 13/sh since last week when it was bought on 14 th Feb, 2020.
With the stock market suffering decline as a whole, we sold Siemens to gain profits from the
most significant increase in price within the portfolio.
 2. After reaching a high of Rs. 717/sh on 19 th Feb, 2020, Millat Tractor has declined to Rs.
691/sh for this week. We have bought this share in anticipation of it rising above Rs. 700/sh
due to improved performance of the construction sector as a whole.

Ending of Week 4 (24/02/2020)

No. of Price per
  Company Shares share MV
Service Industries Ltd. 27,000 939.08 25,355,160
1 (SRVI)
Fauji Cement Company 300,000 15.21 4,563,000
2 Ltd. (FCCL)
Indus Motor Company 10,000 988.59 9,885,900
3 Ltd. (INDU)
Pakistan Tobacco 12,000 1914.28 22,971,360
4 Company (PAKT)
Hascol Petroleum Ltd. 80,000 20.96 1,676,800
5 (HASCOL)
6 Systems Ltd. (SYS) 60,000 139.62 8,377,200
Glaxosmithkline (Pak) 45,000 166.07 7,473,150
7 Ltd. (GLAXO)
Philip Morris (Pakistan) 3,500 2488.85 8,710,975
8 Ltd. (PMPK)
Gadoon Textile Mills 10,000 227.54 2,275,400
9 (GADT)
Millat Tractors Ltd.
5500 700 3,850,000
10 (MTL)
Total Value of Shares   95,138,945
Cash leftover 5,597,852.00
MV of Portfolio 100,736,797

BALANCE SHEET
Total Assets 100,736,797
Total Liability -
Owners’ Equity 100,736,797

Rp for Week 4 = (OE ending – OE beginning) / OE beginning

Rp for Week 4 = (100,736,797 – 105,546,672) /105,546,672
Rp for Week 4 = - 4.56%